Presented below are selected transactions of Pale Force Company. Pale Force sells in large quantities to other companies and also sells its product in a small retail outlet. March 1 Sold merchandise on account to CC Company for $3,000, terms 2/10, n/30.
3 CC Company returned merchandise worth $500 to Pale Force.
9 Pale Force collected the amount due from CC Company from the March 1 sale.
15 Pale Force sold merchandise for $400 in its retail outlet. The customer used his Pale Force credit card.
31 Pale Force added 1.5% monthly interest to the customer’s credit card balance.
Instructions
Prepare journal entries for the transactions above.